Paisabazaar Logo - Compare loans and credit cards

Dropline Overdraft

Dropline Overdraft is a financial instrument that allows a borrower to overdraw cash from his/her current account up to anagreed limit, wherein the withdrawal limit reduces each month from the sanctioned limit. The interest rate is paid only on the withdrawn cash and not on the total borrowing limit. Money can be deposited anytime to reduce the outstanding balance. The interest rate is calculated on a daily basis and is charged at the end of each month....

Grow your Business with Loans
Starting at 13%

Rupee IconLowest Interest Rates
google-play-icon

Google Play Store

4.5/5

15.5L Reviews

5cr+Satisfied Customers
65+Lending Partners
800+Cities across India

Paisabazaar Exclusive Benefits

Icon image of Best Loan Offers

Best Loan Offers

Curated Offers from 20+ Lenders

Icon image of Unsecured Loan

Unsecured Loan

Term Loan & OD Facilities Available

Icon image of Expert Advice

Expert Advice

Guidance & Assistance

Icon image of Top Up Facility

Top Up Facility

Loan to Get Additional Funds

Find Best Business Loan Offers

Sort by:

HDFC Bank
Max Loan Amt.Upto ₹75L
Rate of Interest10.75% - 28%
Tenure uptoUpto 5 Years
Processing FeeUpto 2%
ICICI Bank
Max Loan Amt.Upto ₹50L
Rate of Interest13.25% 19.25%
Tenure uptoUpto 5 Years
Processing FeeUpto 2%
Axis Bank
Max Loan Amt.Upto ₹75L
Rate of Interest15% - 19.25%
Tenure uptoUpto 5 Years
Processing FeeUpto 2%
Why Choose Paisabazaar?
image of Compare & Choose the <strong>Best Offer</strong>

Compare & Choose the Best Offer

image of Pre-approved Offers with <strong>Instant Disbursals</strong>

Pre-approved Offers with Instant Disbursals

image of Know Your <strong>Chances of Approval</strong>

Know Your Chances of Approval

image of End-to-End <strong>Digital Process</strong>

End-to-End Digital Process

How Can I Apply for a Business Loan Online?

Get up to ₹1 Crore in 5 Simple Steps

Step 1: Enter your mobile number in the application form.

Step 2: Enter OTP to verify your mobile number.

Step 3: Provide your personal details.

Step 4: Select a bank account for account aggregator consent.

Step 5: Compare offers and apply for the best-suited loan.

Let’s understand the Dropline Overdraft facility with an example:

If the initial tenure of the overdraft facility is 60 months and the original overdraft limit granted is Rs. 10 lakh, then after 1 month the operating limit shall automatically be reduced by 10,00,000/60 = Rs. 16,666. This means that the operating limit available at the end of the first month shall be (10,00,000 – 16,666) = Rs. 9,83,334. This calculation shall proceed for the second month as well and each month further, up till the last month of repayment tenure.

Features of Dropline Overdraft

  • Withdrawal limit reduces each month from initially sanctioned limit
  • Comes as both secured and unsecured loan
  • Do not require collateral to be submitted, in case of unsecured Dropline Overdraft facility
  • Interest rate is charged on a monthly basis but calculated on a daily basis
  • Borrowing limit can go up to Rs. 15 crores, however, it depends on the Bank’s sole discretion
  • Borrowed amount is credited to only current accounts
  • Can be used on a monthly, quarterly, half-yearly or yearly basis
  • Usually the Dropline limit is assigned for 1 – 15 years, it may vary from bank to bank
  • One-time processing fee is charged
  • Do not levy yearly renewal charge
  • It is a mix of term loan and overdraft facility
  • Opted mostly by manufacturers, retailers and traders

Eligible Entities

Dropline Overdraft facility can be availed by entrepreneurs, self-employed professionals, private limited companies, partnership firms, sole proprietorships, and many more entities.

Read: Everything to know about overdraft facility

Comparison of Business Loan Interest Rates offered by Top Banks/NBFCs – 2023

Bank/NBFCs Interest Rate
Axis Bank 10.75% p.a. onwards
Flexiloans 1% per month onwards
HDB Financial Services Ltd. 8% - 26% p.a.
HDFC Bank 10.75% - 25% p.a.
IDFC First Bank 10.50% p.a. onwards
Indifi 1.50% per month onwards
Kotak Mahindra Bank 16% - 26% p.a.
Lendingkart 12% - 27% p.a.
Mcapital 2% per month onwards
NeoGrowth Finance 15% - 40% p.a.
Tata Capital 12% p.a. onwards
UGRO Capital 9% - 36% p.a.
Bajaj Finserv 10% to 26%
Popular Banks/NBFCs offering Dropline Overdraft facility
  • Aditya Birla Finance
  • Axis Bank
  • Bajaj Finserv
  • HDFC Bank
  • ICICI bank
  • Kotak Mahindra Bank
  • SBI
  • Tata Capital
  • Yes Bank

Avail Business Loan For
All Your Needs

Documents Required

General Documents Self-Employed Individuals / Sole Proprietorship Partnership Firms / Private Limited Companies
Application form Last year’s GST returns Payment Statement of existing loan(s), if any
Passport-sized photographs of all the applicants and co-applicants Last 3 years’ ITR (audited) Partnership Deed in case of partnership firms
PAN Card Last 1 year’s bank statement Last year’s GST returns
Identity Proof – Aadhar Card, Passport, Voter ID, Driving License Status of existing loan(s), if any Last years’ bank statement from borrower’s account mentioned in balance sheet
Address Proof – Passport, Voter ID, Utility Bills (Electricity/Telephone) Last 3 years’ financials, such as Profit & Loss statement and balance sheet Certificate of Incorporation for Private Limited Companies

How Can I Apply for a Business Loan Online?

Get up to ₹1 Crore in 5 Simple Steps

Step 1: Enter your mobile number in the application form.

Step 2: Enter OTP to verify your mobile number.

Step 3: Provide your personal details.

Step 4: Select a bank account for account aggregator consent.

Step 5: Compare offers and apply for the best-suited loan.

Explore Our Business Loan Lenders

HDFC BANKHDFC BANKAxis BankAxis BankICICI BankICICI BankIDFC First BankIDFC First BankKotak bankKotak bankTata CapitalTata Capital
View All Partners

Avail Business Loan For
All Your Needs

FAQs

Yes, if you are a retailer, trader or manufacturer you can avail Dropline Overdraft depending upon your creditworthiness and business requirements.

It is always recommended to maintain a good credit score, as this facility is a type of unsecured loan so banks majorly rely on the creditworthiness and repayment capacity of the applicant.

Dropline overdraft facility comes in both secured and unsecured forms, so if you want to take a secured loan then the collateral is required to be submitted.

The minimum and maximum borrowing limit depend on the applicant’s profile, business requirements, financial history, repayment capability, creditworthiness, etc.

In an overdraft facility, the sanctioned borrowing limit remains the same or does not change until the limit is reached, whereas in Dropline Overdraft the withdrawal limit reduces each month from the sanctioned limit.

The interest rate is calculated on a daily basis and charged every month.

Business Loan Articles

icon image of Unsecured Business Loans: Lenders Notice More Than Just Your Credit Score

Unsecured Business Loans: Lenders Notice More Than Just Your Credit Score

icon image of Paisabazaar
Paisabazaar26 Aug 2025
icon image of Secured vs. Unsecured Business Loans: Which One Should You Choose?

Secured vs. Unsecured Business Loans: Which One Should You Choose?

icon image of Vandana Punj
Vandana Punj04 Apr 2025
icon image of How to Choose the Right Business Loan

How to Choose the Right Business Loan

icon image of Vandana Punj
Vandana Punj03 Apr 2025
icon image of MSME – Its Meaning, Classification, Loan Schemes, Role and Importance in India

MSME – Its Meaning, Classification, Loan Schemes, Role and Importance in India

icon image of Rahul Misra
Rahul Misra29 Jan 2025
icon image of Ways To Raise Capital For Your Startup Business

Ways To Raise Capital For Your Startup Business

icon image of Rahul Misra
Rahul Misra29 Dec 2024
icon image of 6 Reasons for Your Business Loan Application Getting Rejected

6 Reasons for Your Business Loan Application Getting Rejected

icon image of Rahul Misra
Rahul Misra01 Dec 2024
icon image of Business Loan or Overdraft – Which is Better?

Business Loan or Overdraft – Which is Better?

icon image of Rahul Misra
Rahul Misra09 Aug 2024
icon image of Types of Business Loans in India

Types of Business Loans in India

icon image of Rahul Misra
Rahul Misra01 Jan 2024
icon image of 5 Best Business Loan Schemes for Women Entrepreneurs

5 Best Business Loan Schemes for Women Entrepreneurs

icon image of Rahul Misra
Rahul Misra13 Apr 2023
icon image of 6 Business Ideas to Make Money Fast

6 Business Ideas to Make Money Fast

icon image of Rahul Misra
Rahul Misra29 Mar 2023
View All Articles
quotes icon

What our customers say

Business loan complex hotta h

Business loan thoda complex lagta h muhje, lekin Paisabazaar pe team ne sab steps simple bana diya muhje ache se support kiya. Thank you.

icon image of avatar
Meher SinghJan 22, 2026

Business loan liya tha, interest acha mila

Muhje darr tha ki interest rate kahi lenders jda na charge krle, phir paisabazaar pe sahi interest rate milla. Mera credit profile dekh ke or bhi bht saare factors consider karke interest rate milla.

icon image of avatar
Mohit DasJan 15, 2026

Uncle ne bataya tha Paisabazaar ke baare mai

Mai online loans ke baare mai jada nhi janta, mere chacha ne bataya tha ki Paisabazaar se loan acha milta hai. Try kiya or asli mai bohot acha experience tha.

icon image of avatar
Raju RastogiJan 14, 2026

Boutique ke liye small loan liya tha

Boutique ke liye small loan liya tha. Small entrepreneurs ke liye bht important hota hai sahi jagah se loan lena. Paiabazaar ki team bohot helpful hai.

icon image of avatar
Vanni KumariJan 13, 2026

Loan approval ke chances dikhate h

Paisabazaar se business loan lo toh pata rehta h ki kaha loan approval ke chances jada hai. Isse thoda tension kam jata h rejection ka. Acha feature hai.

icon image of avatar
Sobhit GuptaJan 5, 2026

Advisors bohot ache the

Business loan thoda confusing hota h. Advisors ne sahi guide kiya. Thanks you.

icon image of avatar
Prakash MishraJan 4, 2026

Trusting platform

I take business loan from Paisabazaar two months before. very nice experience. No jhamela, only good work done. Thank you

icon image of avatar
Priya ShawDec 30, 2025

Chote business ke liye bhi loan mila

Chote businesses ko loan milne mai dikkat hoti hai lekin yaha mil gaya. Thank you for helping small business also. Good job keep it up.

icon image of avatar
Rupesh SharmaDec 29, 2025

Quick and easy steps

Business loan apply karne se pehle yeh sochke dar lagta tha ki bohot mehnat lagegi. Lekin mai toh surprise hi hogayi Paisabazaar ka simple or easy steps dekh ke. Itna smooth process tha ki bikul hi samjh nhi aaya kab loan approve hua or kab account mai paise agaye.

icon image of avatar
Ishita SinghDec 28, 2025

Good Loan Mila

I appyled for business loan for my boutique. Proper Help given in the process. Always ready to help people. Very good experience. Will tell all to take loan only from here.

icon image of avatar
Sarmistha RoyDec 26, 2025
View All Testimonials
Sumit Kumar profile
Written ByLinkedIn icon
Sumit Kumar
Shamik Ghosh profile
Reviewed ByLinkedIn icon
Shamik Ghosh

Paisabazaar is a loan aggregator and is authorized to provide services on behalf of its partners

*Applicable for selected customers

Knapsack with coins

Check Best Business Loan Offers
with Quick Disbursal

Scroll to top